In 2020, amid economic uncertainty due to the COVID-19 pandemic, the Federal Reserve Board took decisive action. Their decision to lower the prime lending rate had a ______ effect on the economy: stock prices, consumer confidence, and corporate investment improved quickly, fueling a rebound in tech stocks and fostering an environment that encouraged business expansion.4 Mark For Review4Which choice completes the text with the most logical and precise word or phrase?A) salutaryB) perverseC) despondentD) digressive
Question
In 2020, amid economic uncertainty due to the COVID-19 pandemic, the Federal Reserve Board took decisive action. Their decision to lower the prime lending rate had a ______ effect on the economy: stock prices, consumer confidence, and corporate investment improved quickly, fueling a rebound in tech stocks and fostering an environment that encouraged business expansion.4 Mark For Review4Which choice completes the text with the most logical and precise word or phrase?A) salutaryB) perverseC) despondentD) digressive
Solution
The most logical and precise word to complete the text would be A) salutary. This is because the word 'salutary' means beneficial or having a positive effect, which aligns with the context of the sentence that describes an improvement in the economy.
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